Ramakrishna Housing Private Limited Vs Assistant Commissioner of State Tax and Others (Andhra Pradesh High Court)
The Andhra Pradesh High Court has granted Ramakrishna Housing Private Limited an opportunity to seek revocation of its cancelled GST registration, recognizing the impact of the company’s insolvency proceedings on meeting regulatory requirements. The real estate business, initially compliant under the GST Act, had stopped filing returns and paying taxes from 2020. In response, tax authorities issued a show cause notice in August 2020, eventually cancelling the registration in December 2021. However, due to ongoing insolvency proceedings under the Insolvency and Bankruptcy Code, the company was unable to file for revocation within the standard timeframe. Now, emerging from the insolvency process, the company seeks to resume operations and requires the GST registration to manage payments and continue its business.
In court, the petitioner’s counsel expressed readiness to clear outstanding taxes and file pending returns, signaling a commitment to compliance. Acknowledging this and the unique circumstances posed by the insolvency proceedings, the High Court issued specific directives for revocation. The court directed the petitioner to submit the revocation application by November 5, 2024, along with draft returns and outstanding taxes. The authority must review and decide on the application within 15 days of receipt. The court also accommodated potential technical challenges, allowing manual submission if online filing proves difficult. This ruling, influenced by the petitioner’s insolvency status, does not establish a precedent but offers relief to the petitioner, facilitating the restoration of GST registration essential to resuming regular business.
